Seagate’s FreeAgent Theater+ HD media player now has support for Netflix’s Watch Instantly. A free firmware update will enable the player to stream Netflix as well as content from YouTube, vTuner and Mediafly. This device just got a whole lot more competitive.

The unit also doubles as a UPnP / DLNA streamer to play content stored on networked PCs and drives, and you can get one for around $100 without a FreeAgent HDD.

Seagate’s latest FreeAgent Theater+ HD network media player will spice up your living room increasing the maximum resolution for video to 1080p, with support for DTS and Dolby Digital audio. If you have some RJ45 cables, you can connect the FreeAgent Theater+ HD to your home network via Ethernet, where it will stream content from different computers over the local network.

The optional 802.11n Wi-Fi adapter makes it handy to go wireless, occupying one of the three available USB 2.0 ports. The remaining ports can be connected to portable hard drives if you want additional storage. A driveless kit will cost you $150, while one with the 500GB FreeeAgent Go will retail for $290.